Author Question: Which of the following is not generally true about a profit-maximizing monopolist? a. The ... (Read 83 times)

pane00 · **on:** Jun 30, 2018

Which of the following is not generally true about a profit-maximizing monopolist?
a. The monopolist faces a perfectly elastic demand curve.
b. The monopolist can potentially continue to earn economic profits in the long run.
c. The monopolist charges a price that exceeds marginal cost.
d. The monopolist chooses output where marginal revenue equals marginal cost.

Question 2

It is often argued that if foreign goods are kept out of the domestic economy:
a. jobs will be lost at home.
b. jobs will be created abroad.
c. domestic consumers will enjoy product surpluses.
d. jobs will be created at home.
e. foreign consumers will suffer product shortages.